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Part 2: Translate Technical Claims

Stop nodding along. Start understanding what they actually mean.

Sound familiar?

“The API rate limits are causing the webhook to fail intermittently.”

Your developer said this in the standup. You nodded. You had no idea what it meant. By the end of this lesson, you will.

The 12 Terms You'll Hear Most

These terms come up in every vendor demo, developer conversation, and martech evaluation. Here's what they actually mean.

1API (Application Programming Interface)

What they say:

We’ll build an API integration with your CRM.

What it means:

Two software tools talking to each other automatically — like a translator between systems.

Why you care:

  • Custom API work costs $5K–$25K and takes 2–6 weeks
  • Many tools already have pre-built integrations (no custom API needed)

Questions to ask:

  • Is this a pre-built integration or custom API work?
  • What happens if the API goes down?

2Rate Limits

What they say:

We hit the rate limit on the integration.

What it means:

Speed limits on how much data can move between systems — like a highway that only allows 100 cars per minute.

Why you care:

  • Can break campaigns mid-flight if you send too much data at once
  • Higher limits usually cost more or require enterprise plans

Questions to ask:

  • What are the rate limits for our current tier?
  • What happens when we hit the limit during a campaign?

3Webhook

What they say:

We’ll set up a webhook to trigger the workflow.

What it means:

An automated notification — when X happens, Y is triggered. Like a doorbell: someone presses it, you get notified.

Why you care:

  • Webhooks can fail silently — you won’t know data stopped flowing
  • Critical for real-time marketing automation and lead routing

Questions to ask:

  • What happens if the webhook fails?
  • Do we get alerts when a webhook stops working?

4Machine Learning vs “AI”

What they say:

Our AI predicts customer churn with 95% accuracy.

What it means:

AI is a broad term. Machine Learning (ML) specifically means the system learned patterns from historical data. Many vendors call basic if/then rules “AI.”

Why you care:

  • Vendors commonly rebrand simple rule-based systems as “AI” to charge more
  • True ML requires quality training data and ongoing maintenance

Questions to ask:

  • Is this actually machine learning or is it rule-based logic?
  • What data was it trained on, and how often is it retrained?

5Token

What they say:

Our plan includes 100,000 tokens per month.

What it means:

Chunks of text that AI processes. Roughly 750 words equals 1,000 tokens. It’s how AI vendors measure usage, like minutes on a phone plan.

Why you care:

  • Overage charges range from $0.01 to $0.10 per 1,000 tokens
  • A single long blog post can consume thousands of tokens

Questions to ask:

  • What happens when we exceed our token limit?
  • Can we monitor token usage in real time?

6Latency

What they say:

200ms latency on average for our API.

What it means:

The delay between a request and a response — how long a user waits. 200ms is a fifth of a second.

Why you care:

  • High latency breaks user experience — pages that take 3+ seconds lose 53% of visitors
  • AI-powered features often add latency to existing workflows

Questions to ask:

  • What’s the average response time under peak load?
  • What’s the p99 latency (worst-case scenario)?

7Training Data

What they say:

Our model is trained on industry-specific data.

What it means:

The examples and information the AI learned from. Like a textbook for the AI — the quality of the textbook determines the quality of the student.

Why you care:

  • Outdated training data produces outdated or wrong outputs
  • Biased training data produces biased results that can harm your brand

Questions to ask:

  • What data was it trained on specifically?
  • When was the training data last updated?

8Model Fine-Tuning

What they say:

We can fine-tune the model for your brand voice.

What it means:

Further training a pre-built AI model on your specific data to customize its behavior — like giving a new employee your company handbook.

Why you care:

  • Costs $5K–$50K+ depending on complexity
  • Requires 1,000+ quality examples of your desired output

Questions to ask:

  • How much data do we need to provide for effective fine-tuning?
  • How long does fine-tuning take, and how often must we redo it?

9Prompt Engineering

What they say:

Our prompt engineering ensures high-quality outputs.

What it means:

The art and science of writing instructions for AI. Like writing a creative brief — the better the brief, the better the output.

Why you care:

  • Bad prompts produce bad outputs regardless of how good the AI is
  • Prompt quality is often the difference between a useful tool and a toy

Questions to ask:

  • Can we customize and iterate on the prompts ourselves?
  • How do you test and optimize your prompts?

10Vector Database

What they say:

We use a vector database for semantic search.

What it means:

A database that stores information by meaning rather than exact keywords. Instead of searching for the word “happy,” it also finds “joyful,” “pleased,” and “delighted.”

Why you care:

  • Enables genuinely smart search and recommendation features
  • Can be expensive to scale — costs grow with data volume

Questions to ask:

  • What’s the cost at our expected data scale?
  • How does search performance change as our data grows?

11LLM (Large Language Model)

What they say:

We use a proprietary LLM for content generation.

What it means:

The AI brain powering tools like ChatGPT, Claude, and Gemini. It’s a large neural network trained on vast amounts of text.

Why you care:

  • “Proprietary LLM” is rarely true — building one costs $10M–$100M+
  • Most vendors use OpenAI, Anthropic, or open-source models under the hood

Questions to ask:

  • Which base model are you using (GPT, Claude, Llama, etc.)?
  • What happens if that model provider changes pricing or terms?

12Embeddings

What they say:

We create embeddings of your content for better retrieval.

What it means:

Converting text into numbers that capture meaning. Like creating a GPS coordinate for every piece of content so the AI can find related items by proximity.

Why you care:

  • Powers semantic search, personalization, and recommendation engines
  • Quality depends on the embedding model — not all are equal

Questions to ask:

  • Which embedding model do you use?
  • How do you handle updates when our content changes?

Quick Reference Cheat Sheet

Bookmark this. Pull it up before your next vendor call.

TermPlain EnglishRed Flag
APITwo tools talking to each other“Custom API” when a pre-built integration exists
Rate LimitsSpeed limits on data transferNo one mentions limits until your campaign breaks
WebhookAutomated “if this, then that” triggerNo monitoring or failure alerts in place
ML vs AIPattern learning vs. marketing buzzword“AI-powered” but can’t explain the model
TokenAI usage unit (≈750 words = 1K tokens)No usage dashboard or overage warnings
LatencyResponse delay timeOnly quoting averages, never worst-case

Key Takeaway

  • You don't need to become technical — you need to ask the right questions when you hear these terms.
  • Every term on this list has a plain-English translation and a set of questions that will make you sound (and be) informed.
  • The goal isn't fluency — it's recognizing when someone is using jargon to hide a lack of substance.